GNP accounts avoid double counting by including only the value of final goods and services sold on the market. Should the measure of imports and exports used in the GNP accounts therefore be defined to include only imports and exports of final goods and services received from and sold to other countries?

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Business

Myles Barr

4 June, 08:17

GNP accounts avoid double counting by including only the value of final goods and services sold on the market. Should the measure of imports and exports used in the GNP accounts therefore be defined to include only imports and exports of final goods and services received from and sold to other countries?

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Luka Oconnell · Answer 1

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Explanation:

The Gross national product (GNP) is a tool used to measure the nation's total economic activity. Therefore it can be said that these accounts should not only include imports and exports of final goods and services received from and sold to other countries instead the total values and imports and exports should be included in the calculation of the GNP